On Monday, as reported by CNN, a federal appeals judge (J. Jerry Smith, 5th Cir.) questioned a lawyer for the United States, on the record during a court proceeding, concerning political comments made by President Barack Obama on an unrelated matter. To be clear, Judge Smith brought the topic up on his own, out of the blue. Background As most Americans know, …
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In a recent decision, the U.S. District Court for the District of Maryland (J. Motz), allowed a Fair Debt Collection Practices Act (FDCPA) claim to proceed against a law firm that attempted to collect a debt after the debt had been discharged in bankruptcy.  The case is Gamble v. Fradkin & Weber, P.A., No. JFM-11-1779, 2012 WL 115423 (D. Md. Jan. 13, …
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For weeks now, most State Attorneys General have been touting the $25 Billion mortgage settlement as a huge win for consumers.  Wrong! Neil Barofsky, former Special US Treasury Department Inspector General, explains in detail how the settlement is a “bad deal” for consumers, and nothing but “games and fluff”.  Here is the video. How is the settlement games and fluff?  The …
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The Maryland Consumer Protection Act (CPA) is codified at Md. Code, Com. Law § 13-101 et seq.  The CPA is very broad, and covers virtually any form of fraud that a business might commit or attempt against a consumer.  The main differences between the CPA and a common law fraud claim are: The CPA does not require any reliance by the …
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Bank of America announced last week its plans to impose a new $25 monthly fee on its customers.  But, even Forbes.com questions whether imposing a new, arbitrary fee is the right approach. There are many reasons why Bank of America should show greater respect for its customers, rather than just believing it is “entitled” to a certain amount of profit: BofA was one of …
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Another lawsuit has been filed against Wells Fargo for illegally denying a loan modification under the Obama Administration’s Home Affordable Modification Program (HAMP).  The lawsuit charges Wells Fargo with making misrepresentations in connection with the homeowner’s HAMP application, and claims $4,000,000. The plaintiff, a Baltimore County consumer, turned to Wells Fargo for help when she incurred financial hardship.  From 2001 …
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The Seventh Amendment to the United States Constitution (and also Article 23 of the Maryland Declaration of Rights) guarantees consumers the right to a jury of their peers in civil cases.  Corporations have found a way to circumvent this constitutional right by placing arbitration requirements in consumer contracts.  Without knowing it, consumers regularly waive their right to a jury trial …
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The Volcker Rule is a part of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.  As reported by the Center for American Progress, the Volcker Rule prohibits Wall Street investment banks (i.e., Wells Fargo, Goldman Sachs, Citi, J.P. Morgan Chase, Bank of America) from engaging in proprietary trading. What is proprietary trading?  Very simply, it is when …
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The federal Consumer Financial Protection Bureau was established as part of the Dodd-Frank Wallstreet Reform and Consumer Protection Act of 2010.  According to the bureau, part of its mission is to enforce consumer protection laws.  But, does the bureau have any real power to enforce the laws and bring justice to consumers? A recent Huffington Post article suggests that the …
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In a follow-up to our previous post, Maryland, through Attorney General Douglas Gansler, officially agreed to the robo-signing foreclosure fraud settlement today with Citigroup, J.P. Morgan Chase, Bank of America, Ally Financial/GMAC, and Wells Fargo.  Click here to see the Daily Record’s news video of Mr. Gansler explaining the settlement. The settlement secures an estimated $959,114,825.45 for Marylanders who were victims of the …
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